Artesian Water Company, Inc. announces acquisition of the Delaware City Water System
August 03 2020 - 4:10PM
Artesian Water Company, Inc., a subsidiary of Artesian Resources
Corporation (NASDAQ: ARTNA), purchased the water system of Delaware
City in New Castle County, Delaware, which serves a population of
nearly 2,000, on August 3, 2020. This acquisition is the
culmination of a long-standing relationship between Artesian and
Delaware City.
Artesian has actively operated Delaware City’s
water system on a contract basis for 17 years. Under these
contracts, Artesian has been responsible for operating the water
treatment plants, maintaining plant equipment, making distribution
system repairs, providing 24/7 emergency dispatch, and handling
billing and collection services. Along with open
communication, this strong collaboration will allow the transition
of the acquisition to be seamless for customers.
Artesian has been providing high quality water
service in Delaware for 115 years. This acquisition will be
Artesian’s 7th over the past three years, including the Slaughter
Beach Water Company, High Point, Cantwell, Odessa, Historic Fort
DuPont, and most recently Frankford water systems.
“We are proud that Delaware City chose Artesian
to provide water service to its residents,” said Dian C. Taylor,
Chair, President and CEO of Artesian. “We have forged a
strong partnership with Delaware City over the past 17 years and
will be making significant investments to ensure the residents of
Delaware City receive high quality, reliable water service,” said
Taylor.
As part of this acquisition, Artesian will
invest over $2.4 million in enhancing Delaware City’s water
system. The investment will include upgrading water meters to
new technology, replacing aging water main and services, and
installing more efficient pumps and treatment. Additionally,
Artesian will interconnect the Delaware City water system with the
neighboring Fort DuPont water system, which was acquired by
Artesian in 2017. Connecting these neighboring systems will
provide improved water pressure for residents of Delaware City,
improve fire protection flows, and ensure multiple sources of
ground water supply for enhanced reliability.
The Historic Fort DuPont area is currently being
redeveloped and revitalized. The 325-acre area is planned to
be a 600-unit residential waterfront community, with many
anticipated retailers and businesses. “The economic
development in Fort DuPont, and the enhanced reliability of water
supply and fire protection, will benefit the entire Delaware City
area and further enable its future growth,” said Taylor.
About Artesian
ResourcesArtesian Resources Corporation operates as a
holding company of wholly-owned subsidiaries offering water and
wastewater services, and related services, on the Delmarva
Peninsula. Artesian Water Company, the principal subsidiary,
is the oldest and largest regulated water utility on the Delmarva
Peninsula, with offices in Newark and Milton, and has been
providing water service since 1905. Artesian supplies 8.3
billion gallons of water per year through 1,331 miles of water main
to approximately a third of all Delaware residents.
Forward Looking StatementsThis
release contains forward looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995 regarding,
among other things, planned investments in plant. These
statements involve risks and uncertainties that could cause actual
results to differ materially from those expressed or implied by
such forward-looking statements including: general economic
business conditions, the successful integration of the customers
and the facilities, and other matters discussed in our filings with
the Securities and Exchange Commission. While the Company may
elect to update forward-looking statements, we specifically
disclaim any obligation to do so and you should not rely on any
forward-looking statement as representation of the Company’s views
as of any date subsequent to the date of this release.
Contact:Virginia
EisenbreyCommunications(302)
453-6900veisenbrey@artesianwater.com
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